Netflix Inc. (NASDAQ: NFLX) has seen a decline in its stock price by -9.09 in relation to its previous close of 610.56. However, the company has experienced a -10.88% decline in its stock price over the last five trading sessions. The Motley Fool reported 2024-04-21 that Netflix has generated millionaire-making gains since its IPO. It still leads the crowded streaming video market.
Is It Worth Investing in Netflix Inc. (NASDAQ: NFLX) Right Now?
Netflix Inc. (NASDAQ: NFLX) has a price-to-earnings ratio that is above its average at 38.51x. The stock has a 36-month beta value of 1.20. Opinions on the stock are mixed, with 14 analysts rating it as a “buy,” 11 as “overweight,” 14 as “hold,” and 1 as “sell.”
The public float for NFLX is 428.59M, and at present, short sellers hold a 1.60% of that float. On April 22, 2024, the average trading volume of NFLX was 4.28M shares.
NFLX’s Market Performance
The stock of Netflix Inc. (NFLX) has seen a -10.88% decrease in the past week, with a -11.57% drop in the past month, and a 14.93% gain in the past quarter. The volatility ratio for the week is 3.30%, and the volatility levels for the past 30 days are at 2.47% for NFLX. The simple moving average for the last 20 days is -10.52% for NFLX stock, with a simple moving average of 14.63% for the last 200 days.
Analysts’ Opinion of NFLX
Many brokerage firms have already submitted their reports for NFLX stocks, with Needham repeating the rating for NFLX by listing it as a “Buy.” The predicted price for NFLX in the upcoming period, according to Needham is $700 based on the research report published on April 19, 2024 of the current year 2024.
Pivotal Research Group, on the other hand, stated in their research note that they expect to see NFLX reach a price target of $800, previously predicting the price at $765. The rating they have provided for NFLX stocks is “Buy” according to the report published on April 19th, 2024.
Canaccord Genuity gave a rating of “Hold” to NFLX, setting the target price at $585 in the report published on April 19th of the current year.
NFLX Trading at -8.15% from the 50-Day Moving Average
After a stumble in the market that brought NFLX to its low price for the period of the last 52 weeks, the company was unable to rebound, for now settling with -13.14% of loss for the given period.
Volatility was left at 2.47%, however, over the last 30 days, the volatility rate increased by 3.30%, as shares sank -10.87% for the moving average over the last 20 days. Over the last 50 days, in opposition, the stock is trading -0.76% lower at present.
During the last 5 trading sessions, NFLX fell by -10.88%, which changed the moving average for the period of 200-days by +24.48% in comparison to the 20-day moving average, which settled at $616.91. In addition, Netflix Inc. saw 14.00% in overturn over a single year, with a tendency to cut further gains.
Insider Trading
Reports are indicating that there were more than several insider trading activities at NFLX starting from HASTINGS REED, who sale 20,566 shares at the price of $610.42 back on Apr 01 ’24. After this action, HASTINGS REED now owns 28 shares of Netflix Inc., valued at $12,553,955 using the latest closing price.
Peters Gregory K, the Co-CEO of Netflix Inc., sale 5,352 shares at $625.00 during a trade that took place back on Mar 18 ’24, which means that Peters Gregory K is holding 13,090 shares at $3,345,000 based on the most recent closing price.
Stock Fundamentals for NFLX
Current profitability levels for the company are sitting at:
- 0.23 for the present operating margin
- 0.43 for the gross margin
The net margin for Netflix Inc. stands at 0.18. The total capital return value is set at 0.2. Equity return is now at value 29.80, with 13.09 for asset returns.
Based on Netflix Inc. (NFLX), the company’s capital structure generated 0.4 points at debt to capital in total, while cash flow to debt ratio is standing at 0.52. The debt to equity ratio resting at 0.66. The interest coverage ratio of the stock is 19.63.
Currently, EBITDA for the company is 21.51 billion with net debt to EBITDA at 0.31. When we switch over and look at the enterprise to sales, we see a ratio of 7.08. The receivables turnover for the company is 1.1for trailing twelve months and the total asset turnover is 0.72. The liquidity ratio also appears to be rather interesting for investors as it stands at 1.07.
Conclusion
To sum up, Netflix Inc. (NFLX) has seen a mixed performance recently. Analysts have differing views on the stock, with some seeing it as a “buy” and others as a “hold”. It’s important to note that the stock is currently trading at a significant distance from its 50-day moving average and its 52-week high.
